How big is an emergency fund?
Lesson 2 of 12 in our free Saving & Emergency Funds guide: a 5-minute money game with the key points below.
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Questions you'll answer
Your essentials (rent, food, bills, travel) cost £900 a month. What's a 3-month emergency fund?
Where's the best home for an emergency fund?
Quick facts
- Boiler breaks and the landlord takes ages — you need a heater → Real emergency. Genuine, urgent, unplanned.
- Limited-edition trainer drop → Not an emergency. It's giving 'want'. Save for it separately.
- Lost your job and rent is due → Real emergency. Exactly what the fund is for.
- Christmas → Not an emergency. It happens every year! Plan for it with a goal pot.
- Emergency dental treatment → Real emergency. Urgent and unplanned — emergency.